Ethical Issues in Business and Economics
Theology 210
Boston College, Spring 2007
Professor Erik Owens
Class meets: Tue/Thu 9:00-10:30am
email: erik.owens@bc.edu
Office: Boisi Center, 24 Quincy Rd.
Office Hours: Mon. 3-5pm & by appt.
Office phone: (617) 552-1861
Course description:
In this course we will explore the ethical and moral dimensions of the contemporary business environment.
The course readings, classroom discussions, and writing assignments are intended to introduce students
to the concepts of philosophical and religious ethics, and to demonstrate how these concepts are used to
address particular business situations and, more generally, to critique economic systems. You should
complete this course with an appreciation of the complexity of ethical issues in business and economics as
well as an ability to form reasoned and well-argued opinions about them. No previous familiarity with
philosophy or ethics is assumed or required, but you will be expected to rigorously engage the reading and
come to every class prepared to discuss the material.
Required Texts:
Most of the course readings will be articles or chapters placed on online reserve at the library (eReserve).
Where possible, the entire books or journals from which these articles were taken have been placed on
reserve as well. The following texts have been ordered at the BC bookstore, are on reserve at the
library, and may be purchased online:
• Max Stackhouse et al., On Moral Business: Classical and Contemporary Resources for Ethics in
Economic Life (Eerdmans, 1995). [OMB]
• National Council of Catholic Bishops, Economic Justice for All (USCC, 1986/1996).
• Charles Wheelan, Naked Economics (Norton, 2003)
Suggested readings are also provided for many topics we will discuss. You will not be tested on that
material, but it will be useful as you prepare for class discussion, presentations and papers. I also strongly
recommend that you read a major newspaper (Boston Globe, New York Times, Wall Street Journal,
Washington Post, Christian Science Monitor, Financial Times, etc.) or business newsmagazine (Forbes,
Fortune, BusinessWeek, Portfolio, Inc., etc.) every day this semester. The news pages are filled with
business ethics issues that we will be discussing in class.
Course requirements:
1. Participation: The central goal of the course is for students to develop their own capacities to reason
about difficult ethical issues; this is best done in discussion with others, where you can present, defend
and revise your opinion in a constructive environment. Your thoughtful participation in class
discussions (which is a function of your consistent preparation and attendance) is thus essential, and
will count for 20% of your grade. Diverse points of view will be presented in the course readings, and
they are likewise welcomed in the ensuing discussion. In the interest of maintaining an ongoing,
constructive dialogue about topics that can be rather contentious, you are expected to demonstrate
mutual respect and civility in the classroom.
2. Paper: I will distribute a case study about a topic of current interest. Students will write a short paper
(5-6 pages) analyzing the fundamental issues at stake possible responses from two or three of the
theological and philosophical theories discussed in parts 1 and 2 of the course. This paper is worth 25%
of your grade, and is due (in print) in my office by 4pm on Monday October 8.
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3. Mid-to-late-term exam: The in-class exam on November 18 will cover material from parts 1-3 of the
class, and will be worth 30% of your grade.
4. Presentation: Each student or group (depending on class size) will lead a class discussion during part
4 of the course. Each presenter will be expected to: (a) explicate the reading for that day, in part by
raising the relevant ethical questions involved; (b) articulate and defend an ethical position with regard
to issue or case at hand; and (c) lead the class discussion that follows. A short written summary of (a)
and (b) should be turned in at the end of the class in which your group leads. Groups or individuals are
encouraged to discuss your presentation with me in advance of your presentation, though this is not
required. This presentation is worth 25% of your grade; if a group presents, each member will receive
the same grade.
The grading scale:
A = excellent work (A= 95-100; A- = 90-94)
B = good work (B+ = 87-89; B = 83-86; B- = 80-82)
C = adequate work (C+ = 77-79; C = 73-76; C- = 70-72)
D = poor work (D = 60-69)
F = inadequate or insufficient work (59 & below)
Academic integrity:
I don’t need to elaborate on the obvious seriousness of academic integrity in an ethics course. I encourage
you to read the university’s section on plagiarism and other forms of cheating here: http://www.bc.edu/
offices/stserv/academic/resources/policy/#integrity. Penalties for such activity range from failing that
assignment to expulsion from the university. Please talk to me about any questions you may have.
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Course Outline
Part 1: The Power and Promise of Economics
(1) Tue 9/4:
Introduction
(2) Thu 9/6:
Economics and the Market: The Orthodox View
What’s so great about free markets?
• Assignment: Charles Wheelan, Naked Economics, Chap 1. (eReserve)
(3) Tue 9/11:
Christian Reflections on the Primacy of
Economics
Are there limits to the explanatory power of
economics?
• Assignment: Harvey Cox, “The Market as
God: Living in the New Dispensation”
(eReserve); Rebecca Blank, “Viewing the
Market Economy Through the Lens of
Faith,” in Is the Market Moral? A
Dialogue on Religion, Economics and
Justice, 11-56. (eReserve)
• Suggested: Michael Sandel, “What
Money Can’t Buy: The Moral Limits of
Markets” (eReserve); Paul Hessert, “Theology and Money” (OMB 629-33).
(4) Thu 9/13:
Heterodox Economics
What if economics is based on flawed assumptions about rationality and utility?
• Assignment: John Cassidy, “Mind Games: What Neuroeconomics Tells Us about Money
and the Brain” (eReserve); Patricia Cohen, “In Economics Departments, a Growing Will
to Debate Fundamental Assumptions” (eReserve); Jonathan Clements, “No Satisfaction:
Why What You Have is Never Enough” (eReserve); Revkin, “A New Measure of WellBeing From a Happy Little Kingdom” (eReserve).
Part 2: Philosophical Resources for Business Ethics
(5) Tue 9/18:
Business Ethics Concepts and Contexts
Is “business ethics” an oxymoron?
• Assignment: Kevin Gibson, “An Overview of
Business Ethics,” in Ethics and Business:
An Introduction, 1-26. (eReserve)
• Suggested: Prisoner’s dilemma game:
serendip.brynmawr.edu/playground/pd.html
(A little strategic advice: www.wired.com/
culture/lifestyle/news/2004/10/65317)
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(6) Thu 9/20:
Justice as a Guide to Evaluating Social and Economic Systems
What’s the best way to distribute resources across a society?
• Assignment: Kevin Gibson, “Insights from Ethical Theory,” in Ethics and Business, 2730. (eReserve); Manuel Velasquez, “Justice and Fairness,” in Business Ethics: Concepts
and Cases, 105-122 (eReserve).
(7) Tue 9/25:
Outcomes as a Guide to Morality
(Utilitarianism)
Can you measure happiness?
Is it okay to rob Peter to pay Paul?
• Assignment: Kevin Gibson, “Insights
from Ethical Theory,” 30-37. (eReserve);
J. Sharlet, “Why Are We Afraid of Peter
Singer?” (eReserve).
(8) Thu 9/27:
Rights and Duties as Guides to Morality
Who decides what’s right or wrong?
• Assignment: Kevin Gibson, “Insights
from Ethical Theory,” 37-44 (eReserve);
The U.S. Bill of Rights and Declaration
of Independence (eReserve); Universal
Declaration of Human Rights
(eReserve)
(9) Tue 10/2:
Virtues as Guides to Morality
What kind of person acts ethically?
• Assignment: Kevin Gibson, “Insights from Ethical Theory,” 44-51 (eReserve); Robert
Solomon, “Corporate Roles, Personal Virtues: An Aristotelian Approach to Business
Ethics,” 71-83 (eReserve)
• Suggested: William May, “The Virtues of the Business Leader” (OMB 692-700).
Part 3: Theological Resources for Business Ethics
(10) Thu 10/4:
Creation and Dominion
What would it mean if God gave humans dominion over the earth?
• Assignment: Genesis 1.1-4.26 (OMB 47-48); “Climate Change: An Evangelical Call to
Action” (eReserve); packet of articles about and responses to the Call to Action
(eReserve)
• Suggested: http://www.christiansandclimate.org/
** Mon 10/8
Short Paper due (in print) by 4pm in my office.
(11) Tue 10/9:
Exodus, Covenant, Prophetic Witness
What binds a religious community together? How can those values and beliefs be
sustained and reclaimed in a diverse society?
• Assignment: Exodus 20-23 and Amos 1-5 (preferably NRSV) (eReserve); Max
Stackhouse, “The Ten Commandments: Economic Implications,” OMB 59-62; excerpts
from “Letter from Birmingham Jail” (eReserve).
• Suggested: Paul Hanson, “The Birth of Covenant,” OMB 56-58; Martin Luther King, “I
Have a Dream” (eReserve)
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(12) Thu 10/11:
The Gospel Message
What would Jesus do?
• Assignment: Matthew 5 and Luke 6 (OMB
76-78); Matthew 22:15-22 and Luke 20:20-26
(eReserve); Matthew 25 (OMB 82-83); Lisa
Cahill, “Ethical Implications of the Sermon on
the Mount” (OMB 79-81); Lwland Ryken,
“Work as Stewarship,” OMB 84-86.
(13) Tue 10/16: Scripture as a Guide to Business Ethics
What’s the point of quoting chapter and verse?
• Assignment: Max Stackhouse, “What Then
Shall We Do? On Using Scripture in
Economic Ethics” (OMB 109-14); Phred
Dvorak, “Managing by the (Good) Book”
(eReserve).
(14) Thu 10/18: Islamic Business Ethics
Is Islam anti-capitalist?
• Assignment: Selections from the Qur’an (OMB 358-60); M. Cherif Bassiouni, “Business
Ethics in Islam” (eReserve). Robert Hefner, “Islam and the Spirit of Capitalism” (OMB
363-67)
(15) Tue 10/23:
Jewish, Christian and Islamic Perspectives on (Financial) Interest
When is lending money usurious?
• Assignment: Selections from Hebrew Bible and New Testament (eReserve); Joanna
Slater, “When Hedge Funds Meet Islamic Finance” (eReserve); G. Pascal Zachary, “Do
Business and Islam Mix? Ask Him” (eReserve); Ken Brown, “Islamic Banking: Faith and
Creativity” (OMB 367-69); The Economist editorial, “In Praise of Usury” (eReserve);
Martin Luther, “Trade and Usury” (OMB 174-79)
• Suggested: Clement of Alexandria, “The Rich Man’s Salvation” (OMB 142-46); John
Wesley, “The Use of Money” (OMB 194-97)
(16) Thu 10/25:
Religious Perspectives on Gambling
What, if anything, is wrong with gambling?
• Assignment: William Galston, “The Memory of Sin” [handout]; Kathryn Tanner, “Grace
and Gambling” [handout].
• NOTE: Students must attend at least one panel of the conference “Gambling and the
American Moral Landscape,” which takes place Thurs 1:00-6:15 and Fri 9:00-3:30 in The
Heights Room, Corcoran Commons.
(17) Tue 10/30:
Buddhist and Confucian Perspectives on Business Ethics
Do Eastern and Western economic values conflict?
• Assignment: Teachings from the Buddhist Suttas (OMB 383-85); Phra Rajavaramuni,
“Buddhist Attitudes Toward Poverty and Wealth” (OMB 386-89); Shunji Hosaka and
Yukimasa Nagayasu, “Buddhism and Japanese Economic Ethics” (eReserve); Sayings
of Confucius (OMB 400-402); Wei-ming Tu, “Is Confucianism Part of the Capitalist
Ethic?” (OMB 409-11)
• Suggested: Revkin, “A New Measure of Well-Being From a Happy Little Kingdom”
(eReserve)
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(18) Thu 11/1:
Catholic Social Thought on Economic Justice
Does the economy serve the people, or vice
versa?
• Assignment: Economic Justice For All, 1-29.
• Suggested: Papal encyclicals on labor/work:
Rerum Novarum (1891), Laborem Exercens
(1981) and especially Centesimus Annus
(1991) (OMB 484-95).
(19) Tue 11/6:
Catholic Social Thought on Economic Justice
(cont.)
Are there ethical norms governing economic life?
• Assignment: Economic Justice For All, 32-82.
• Suggested: Additional sections from Economic
Justice For All: “Employment” (¶127–169) or
“Poverty” (¶127–135 and 170–215) in Chapter III; excerpts from Max Weber, The
Protestant Ethic and the Spirit of Capitalism (OMB 248-51)
(20) Thu 11/8:
In-class Examination
Part 4: Selected Topics in Business Ethics
(21) Tue 11/13:
Poverty
What can/does the market do for/to the poor?
• Assignment: Recall previous readings on poverty; Greg Ip, “Income Inequality Gap
Widens” (eReserve); U.S. Census Bureau press release, “Household Income Rises,
Poverty Rate Declines, Number of Uninsured Up“ (eReserve); Brian Grow and Keith
Epstein, “The Poverty Business” (eReserve); Connie Bruck, “Millions for Millions”
(eReserve).
• Suggested: David Hollenbach, “Poverty, Justice and the Good of the City,” in Christian
Ethics and the Common Good, 173-211 (eReserve); complete U.S. Census Bureau
report: “Income, Poverty and Health Insurance in the U.S. 2006” (eReserve); Anand
Giridharadas, “In India, Poverty Inspires Technology Workers to Altruism” (eReserve).
(22) Thu 11/15:
Wealth and Inequality
How much is too much? Is economic
inequality a good thing?
• Assignment: Charles Wheelan, Naked
Economics, 111-117 (eReserve);
Andrew Carnegie, “The Administration
of Wealth” (OMB 292-96); Joe Nocera,
“Weighing Jobs’ Role in a Scandal”;
Louis Uchitelle, “The Richest of the
Rich, Proud of a New Gilded Age”
(eReserve)
• Suggested: Bill Gates Net Worth page:
http://evan.snew.com/ecgi/bgnw.cgi
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(23) Tue 11/20:
Fraud, Frenzy and the Dot-Com Bubble
Where did Enron and Arthur Anderson go wrong?
• Assignment: Watch “Enron: The Smartest Guys in the Room” in class.
** Thu 11/22:
NO CLASS: THANKSGIVING HOLIDAY
(24) Tue 11/27:
Globalization and Corporate Social Responsibility
Does owning stock mean investing in apartheid and genocide?
• Assignment: Robert Kinloch Massie, “Corporate Democracy and the Legacy of the South
African Divestment Movement” (OMB 577-583); Dashka Slater, “Resolved: Public
Corporations Shall Take Us Seriously” (eReserve); Charles Wheelan, Naked Economics,
Chap. 11; Carolyn Cui, “For Money Managers, A Smarter Approach to Social
Responsibility” (eReserve)
• Suggested:; Jason DeParle, “A Good Provider Is One Who Leaves” (eReserve)
(25) Thu 11/29: Bioethics and Business
Should life itself be a source of profit? Is the cost of saving one life ever too high?
• Assignment: Three packets of recent articles related to (1) patents for genetic sequences
and new life forms; (2) the cost (moral and financial) of medical advances; and (3) the
market for human organs.
• Suggested: Michael Sandel, “The Case Against Perfection” (eReserve)
(26) Tue 12/4:
The Business of Religion
Should religious organizations be
exempt from laws that govern
businesses??
• Assignment: Stephen Monsma,
“The Implications of Equal
Treatment” (eReserve); NYT series
(“In God’s Name”) about legal
exemptions for religious
organizations.
• Suggested: Michael McConnell,
“Equal Treatment and Religious
Discrimination” (eReserve)
(27) Thu 12/6:
Conclusion: Thinking about Ethics
in Everyday Life
So Now What?
• Assignment: Bring questions to discuss in class.
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